Workplace audit

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Employment Agreements

EAS Pty Ltd has completed many Employment agreements for employer clients. We highly recommend single enterprise agreements as they cover a wide range of issues not found in Awards, and permit much greater work place flexibility.

Cost effective professional assistance is available for:

Single Enterprise Agreements (SEA)

An SEA is a legally binding agreement between an employer and a group of employees and may replace all or part of an award. 

An SEA is made at the time when it is approved.

Approval occurs if:

  • the employer has given all of the persons employed at the time whose employment will be subject to the agreement a reasonable opportunity to decide whether they want to approve the agreement, and either:
  • if the decision is made by vote – the majority decide that they want to approve the agreement; or
  • otherwise – a majority of those persons decide that they want to approve the agreement.
  • It takes effect 7 days after approval by Fair Work Australia.
  • The minimum legal time frame to complete is 28 days, however realistically 6 weeks is better. Approval by FWA can take a further 2-3 months at the current time (March 2010).
  • There are additional provisions for employees under 18 years of age.

Before an agreement can be approved it must:

  • Pass the no disadvantage test (to 31/12/2009)
  • Pass the BOOT (Better Off Overall Test) after 1/1/2010

Greenfields Agreements

Where an employer is establishing, or proposes to establish, a new business, an employer can enter into a union greenfields agreement with one or more unions, before any of the relevant employees are employed.

  • A union can only be a party to the agreement if they are entitled to represent the industrial interests of one of more of the employees likely to be subject to the agreement, in relation to work that will be subject to the agreement.
  • A union greenfields agreement is made at the time when the employer and the union(s) agree to the terms of the agreement
  • A union greenfields agreement is made at the time when the employer and the union(s) agree to the terms of the agreement

Multiple Business Agreements

All of the workplace agreements thus far must be made by a “single employer”. However, if there is one or more single businesses carried on by one or more employers, it may be possible to enter into a Multiple Business Agreement.
A Multiple Business Agreement must be authorised by Fair Work Australia. FWA must not grant the authorisation unless satisfied that it is in the public interest to do so.

Individual Flexibility Agreements (IFA)

An IFA is an agreement between an employer and an individual award/agreement employee concerning certain legally defined entitlements that are changed by mutual agreement. An IFA cannot be entered into prior to, or as a condition of an offer of employment.

  • Approval occurs when the IFA is signed and dated by the employer and the employee and those signatures are witnessed.There are additional provisions for employees under 18 years of age.